Question

A souvenir shop sells 300 key chains each month for $5 each.the shop owner estimates that for each 50 cents increase in price he will sell 15 fewer key chains per month.write an equation to model this. How many increases should make to maximize revenue

Answer 1

r = (300 - 15 n) (5 + .50 n) = 1500 + 75 n - 7.5 n^2

the max is on the axis of symmetry ... n = -b / (2 a)